Biggest Greek Banks in Merger Talks

By

Stelios Bouras and

Alkman Granitsas

Updated Oct. 5, 2012 6:10 p.m. ET

ATHENS—Greece's largest lender, National Bank of Greece SA, announced late Friday a friendly, all-share takeover bid for crosstown rival Eurobank Ergasias SA aimed at forming a bank that would dominate Greece's domestic market and rank among the largest in southeast Europe.

The deal, if completed, would be the latest in a series of mergers sweeping Greece's banking sector, which is struggling to cope with the impact of the country's...